Top 10 Best Life Insurance Companies in the United States

Top 10 Best Life Insurance Companies in the United States

10. SBLI

A.M. Best Company Rating: A+ (as of August 18, 2015)

The self proclaimed “No Nonsense Life Insurance Company”, SBLI, in our experience, is just that. Known throughout the industry as being one of the more customer-centric life insurance carriers out there, SBLI seems to have used its smaller size to allow it to, not only provide great customer service, but also to be a price leader in many categories, particularly for those willing to pay on an annual basis.

Strengths:

• Great customer service.
• Price — particularly when premiums are paid annually.
• Term Lengths — offering a full suite of term lengths: 10, 15, 20, 25, and 30 year terms available.
• SBLI also offers a yearly renewable term product for those who are looking for a shorter term such as those seeking to cover an SBA loan with life insurance.

Weaknesses:

• Product offerings and riders can be limiting.
• Underwriting can be a bit stricter that other competitively priced carriers.

9. Prudential (Pruco)

A.M. Best Company Rating: A+ (as of November 4, 2015)

Prudential, Pruco, or, “the Rock”, is just one of those companies that everyone’s heard of, everyone knows, and everyone feels comfortable working with.

We particularly like Prudential Life because they seem to have made the financial decision to simply dominate certain “niches” within the insurance industry. Prudential Life Insurance has done this not only by assuming the lowest pricing in certain areas but also by separating themselves from the herd through the adoption of some unique underwriting guidelines when it comes to:

• Travel locales
• Tobacco Use
• Cancer Survivors
• DUI’s
• Diabetes.
• Actual age instead of nearest age.

Which is why under certain circumstances, Prudential Life is going to offer the best life insurance policy around.

Strengths:

• Creative underwriting.
• Solid product line.
• Non U.S. Resident Life Insurance.
• Prudential will use an applicants true age in determining premium rather that rounding up or down based on which birthday is closer to the date of application. A common practice within the life insurance industry known as “insurance age” vs “actual age.”

Weaknesses:

Price. While Prudential excels in certain “niches”, they aren’t always competitive outside the Company’s main areas of “expertise”. In these  situations, it is good to be able to shop from the over 60 companies TermLife2Go represents.

8. Protective Life Insurance Company

A.M. Best Company Rating: A+ (as of April 28, 2015)

Just like Banner Life above, no top 10 list of the best life insurance companies in the United States is complete if it does not include Protective Life. You just gotta love a company whose motto is: “Do the Right Thing, Serve People, Build Trust and Simplify Everything.”And they’ve been doing it that way since 1907.

Now throw in that they are nearly always the most affordable term life insurance provider in the industry today and it can be difficult to think of a situation when they shouldn’t at least be considered.

Often people will ask what life insurance companies pay out. The answer would be that all life insurance companies in our list pay out. However, Protective is one of the better companies. According to the Company’s website, the average processing time for a life insurance payout was 5.4 business days. That is a great job by a great company that puts the needs of the client, and his or her life insurance beneficiaries, first.

Strengths:

• Highly competitive pricing. Typically one of the most affordable—if not the most affordable option available.
• Income Provider Rider: pays out death benefit over a period of time rather than lump sum. This is great for parents who do not want their children to take a lump sum. Consider naming your Family Trust as the contingent beneficiary.

Weaknesses:

• Not always the most liberal with “higher risk” applicants, which may lead to higher premiums or denial of coverage in some instances. This is why it is good to have options!
• All tobacco users are considered the same, whether you smoke cigarettes, cigars, or chew tobacco.

7. North American Company For Life and Health Insurance

A.M. Best Company Rating: A+ (as of June 3, 2015)

North American Company is quickly getting a name offering  some of the best life insurance in 2016. And don’t let the name fool you, just because the name North American Company for Life and Health Insurance doesn’t roll off your tongue doesn’t mean you shouldn’t consider them before deciding who you want to apply for coverage with.

As a privately owned insurance carrier, North American Company for Life and Health Insurance has consistently demonstrated that, through sound investments in secure and stable assets, it can maintain the highest A.M. Best rating in financial strength and stability.

Strengths:

• Solid product line offering some of the best life insurance policies, including term life insurance, universal life insurance and indexed universal life.
• Exceptional Customer Service.

Weaknesses:

We’ve said it before and we’ll say it again, with so many great companies out there to choose from, price can become the deciding factor for many. That being said, when North American Company for Life and Health is close, they should always be considered a viable option.

6. MetLife

A.M. Best Company Rating: A+ (as of January 14, 2016)

MetLife is a great insurance company known for their financial strength and great customer service. When the company is competitive for price, they’re usually a great fit.

Strengths:

• MetLife is very good about insuring active military personnel.
• MetLife must also be considered for any type 1 diabetics (however depending on the age of onset, MetLife may not be the best price option for type 1 diabetics).
• Marijuana life insurance experts.

Weaknesses:

Price. In a world where price is king, MetLife won’t always compete. The advantage to working with TermLife2Go is MetLife will always be considered an option. If they’re a competitive option or price doesn’t matter, MetLife Insurance may be the right fit for you!

5. Genworth

A.M. Best Company Rating: B++ (rating as of February 9, 2016)

February 5, 2016: Genworth Life Insurance Company is currently going through some growing pains. As a result, the company has suspended sales of traditional life insurance. Stay tuned.

With over $100 billon in assets and a global presence in over 25 countries it not hard to see when Genworth made our list as one of the top 10 life insurance companies in the US. That combined with their liberal take on ones “waist band” makes them one of the first companies that we look at here at TermLife2Go for some of our “LARGER BUILD” clients. But let’s back that up with a few numbers.

For example:

Would you consider a 5’9” male, age 35, weighing in at 203 pounds a perfect candidate? Genworth does. How about a 5’5” female, age 47 weighting 180 pounds? Genworth would place this applicant in its best rate class as well!

These same applicants, if they were to apply with another life insurance company, would have a very difficult time qualifying for a “Preferred Plus” rate class simply because most other life insurance carriers have much stricter build ratio guidelines.

It’s also important to note that Genworth’s liberal weight classes will also help benefit those who aren’t necessarily a candidate for the absolute best rate class out there. For example, let’s take look at what Genworth feels is a “Standard Risk”: That 5’9”, 35 year old male that we talked about early could now weigh in at 236 pounds, and our 47 year old female could now weigh in at 210 pounds and still be considered an “average” weight!

Strengths:

• Not to beat a dead horse, but did we mention Genworth has liberal guidelines when it comes to one’s weight?
• Genworth also has some of the best life insurance policies to choose from.

Weaknesses:

Aside from weight, Genworth can be a little strict with certain medical conditions and family medical histories. That is why TermLife2Go’s agents pre-screen all of our applicants to be certain that you will be a good fit prior to applying.

4. Foresters Life Insurance

A.M. Best Company Rating: A (rating affirmed July 1, 2015)

Probably the hardest thing about writing a life insurance policy with Foresters Life Insurance company is the work that it takes to familiarize an applicant with who they are. Foresters is an excellent insurance carrier that is willing to offer traditional term and whole life insurance coverage for some of the most difficult to place cases.

For example:

We recently had a high risk life insurance applicant get approved who had a stent placed in 2010 and is currently receiving SSI disability benefits due to his inability to continue his previous line of work! If you’re familiar with the life insurance industry you’ll know that not many life insurance carriers are willing to take on such a client.

Strengths:

• Strong product line offering many of the best life insurance policies.
• Foresters offers term life insurance, whole life insurance, universal life insurance, final expense and accidental death insurance.
• Extremely liberal underwriting guidelines.
• Competitive pricing.

Negatives:

If one considers not having a “name brand” a negative then Foresters might not be the right carrier for you. However, if you do have a serious pre-existing condition we would strongly encourage you to do some research on Foresters. They’re a great life insurance company. And given the health conditions the Company is willing to insure, they are priced very aggressively!

3. Banner Life

A.M. Best Company rating: A+ (affirmed as of July 02, 2015)

What would a top 10 list of the best life insurance companies in the United States be without Banner? Banner Life is one of our favorite carriers to write, not only because of their A+ rating, but also because of their exceptional service and price.

Banner will typically be one of the lowest priced insurance products available to our clients. And what is nice about them is that they’re underwriting is typically quite liberalwhen it comes to qualifying for their Preferred and Preferred Plus rate classes.

Strengths:

• Great carrier for higher risk applicants especially type 2 diabetics and type 1 diabetics.
• Banner Life policies are renewable and convertible to the age 95 (most competitors only allow policies to be renewed to age 90).
• Excellent pricing on table rates (i.e. rates below standard).
• Lastly, Banner Life also offers an accelerated death benefit rider as well, free of charge.

Weaknesses:

Approval times: Banner Life Insurance Company’s premiums are so good that the company is often swamped with clients looking to buy life insurance from them. Banner is a large company but having a lot of applicants can slow underwriting down.

We wish Banner was a bit faster in the underwriting department but we also understand why the process can slow at this stage. When it comes to saving a ton of money over the life of a policy many clients are willing to put up with longer underwriting timelines.

Limited options: Not to be too picky but another weakness would be Banner’s lack of term options and riders.

2. American National Insurance Company (ANICO)

A.M. Best Company Rating: A (as of September 2015)

American National Insurance Company is another highly rated insurance company with great customer service that we really like to offer to clients who are looking for traditional term or whole life insurance coverage with or without having to take a medical exam. The products that they offer that don’t require a medical exam are:

Freedom Term Life Insurance

• No medical exam term life insurance policy.
• Face amounts up to $250,000.
• No exam term life insurance for 10, 20 or 30 years.
• Approval in less than 15 minutes.

ValueGuard Whole Life Insurance

• No medical exam whole life insurance policy.
• Face amounts up to $150,000.
• Approval in less than 15 minutes.

And Legacy Whole Life Insurance

• No exam and no health questions guaranteed issue whole life insurance.
• Coverage available up to $25,000.
• Available for ages 50-80.
• 2 year Graded Death Benefit (If you die in the first 2 years policy returns 110% of premium paid).
• You can have coverage in as quickly as 5 minutes.
• Fixed premiums and fixed death benefit.

Strengths:

• American National is one of the best life insurance companies available for no medical exam protection.
• With a no medical exam term policy for up to $250,000 and a no medical exam whole life policy for up to $150,000, ANICO Direct offers clients an excellent alternative to a more traditional medical exam term or whole life policy.
• Offering some of the best no exam life insurance policies options. These policies come in handy when you need coverage fast, for things such as divorce decrees.

Weaknesses:

• As with most no medical exam life insurance policies, the premiums will typically be higher than a life insurance policy with a medical exam.
• Therefore, if you are looking for the lowest premium for your life insurance, a no medical exam policy is probably not going to be the best option for you.
• Lastly, for many a $150,000 or $250,000 life insurance policy may not be enough. For those applicants seeking more coverage, ANICO no medical exam life insurance simply isn’t the right fit.

1. American General (AIG)

A.M. Best Company Rating: A (as of February 27, 2015)

American General Life insurance Company is the right choice for many because they seem to be the “jack of all trades” in the insurance industry. The Company’s underwriting isflexible, their pricing falls right in the upper area of the industry average, and they have exceptional customer service. The following strengths help AIG Life rank for best life insurance.

Strengths:

• Great carrier for higher risk applicants, especially those looking for life insurance with type 2 diabetes.
• A 25 year term product (most life insurance carriers only offer a 20 or 30 year term product). Particularly beneficial for those looking for a 30 year term but just aren’t comfortable with the price tag! You can also tailor your term to a specific length from 15-30 years.
• American General has some of the best policies with living benefit riders. AG offers an accelerated death benefit rider free of charge. If you are diagnosed terminally ill, you can receive a portion of your death benefit while you are still alive, which can be used to help pay bills, hospice, or other important matters.
• American General offers some of the best rates on Guaranteed Universal Life insurance. This is a fixed premium policy that becomes fully vested at age 121. If you die before age 121 it pays out the full face amount. If you live beyond age 121 then you can cash the policy in for the full face amount. Realistically, it is basically a whole life policy that lasts the rest of your life but with a lower premium. This is a great option for business succession planning such as funding a buy-sell agreement with life insurance, key man business life insurance, or funding life insurance trusts.

Weaknesses:

• Ironically, if you choose to purchase American General directly through their retail call center Matrix Direct or AIG Direct, you may not qualify if you appear to be a high risk applicant. The company’s call center likes to focus on standard risk or better applicants. Substandard risk clients are generally offered accidental death.
• Not a great choice for those with recent bankruptcies or DUI’s.
• Also, this may not be your best option if you have a previous felony charge; particularly if the felony is related to drugs or sexual assault.
• Candidates will also be disqualified if they plan on traveling to many regions of Mexico within the next two years.